It will tell it when there is a buyer
or seller looking for a counterparty
where AllianceBernstein can step in
and potentially fill the hole. “It pays
us to be a liquidity provider,” says
Switzer.

But, despite all the talk of the buy-side stepping into the market makingvoid left by dealers, Switzer does notwant to push this too far. It is not thebuy-side’s job to assume the interme-diary role from the sell-side. Whilethere is more scope to be a price mak-er, this is only so when it suits clients.

“The buy-side are not the new market makers,” he says. “Being a liquidity
provider is good when it suits clients.
We can be a price maker, but to think
we’re going to solve liquidity problem